) seems to be growing steadily, either by expanding operations in
new geographies or by winning deals. The company has recently
signed a distribution agreement with Critical Link, an embedded
systems developer with expertise across a broad range of
As per this agreement, Arrow will be distributing Critical
Link's ARM and DSP-based system-on-modules (SoMs) and would
supply development kits to Critical Link's customers in North
America. Arrow would be instrumental in expanding Critical Link's
embedded solutions and offerings and will also help the company's
clients in the designing and marketing of their products quickly
Furthermore, Arrow announced the opening of a new facility in
Sao Paulo, Brazil, which will strengthen the company's presence
in value recovery (electronic and IT asset disposition) and will
provide a strong foothold in the reverse logistics business.
Moreover, Arrow will shift its existing custom computer system
integration operations in Brazil to the Sao Paulo facility. This
is expected to expand the company's presence in the region.
Arrow expects this new facility to be operational by May. This
facility is expected to provide efficient and environmentally
responsible asset recovery, data sanitization, testing and
screening, recycling, remarketing, service parts management and
product returns management services for a wide range of
electronic equipment manufacturing companies.
Arrow is funding its expansion plans by issuing senior
unsecured notes worth $600.0 million in two parts. The company
filed for registration with the U.S. Securities and Exchange
Commission. This will help increase its fund availability,
supporting the working capital requirements, capital expenditure
and provide additional funds for potential acquisitions.
A couple of months back , Arrow entered into a distribution
agreement with Altia, Inc, which helped Altia's advanced and
customized graphical user interfaces reach a broader customer
base through Arrow's key silicon partners.
A part of Arrow's strategy is to support various companies by
offering customized solutions. However, it should be noted that
Arrow faces stiff competition from the likes of
Richardson Electronics Ltd.
Currently, Arrow has a Zacks Rank #3 (Hold). Its close
), which posted decent second-quarter 2013 results, has a Zacks
Rank #2 (Buy).
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